The US Department of Labour is looking to revise rule to change how wages are set for foreign workers under several visa programs, according to the latest details on Friday.
The rule is expected to protect wages and job opportunities for American workers, and also benefit foreign workers.
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The proposed changes will affect the H-1B, H-1B1, E-3, and permanent labour certification visas.
The department also said that it plans to update the method used to calculate current wages. These are the minimum wages employers must pay foreign workers.
Under the new proposal, wage levels will be based on statistical data from the Bureau of Labour Statistics.
This data will help set wage levels that better match the pay of American workers with similar skills and experience.
Officials say the current wage system has allowed some employers to pay foreign workers less than market rates.
This has led to concerns that some companies use foreign labour to cut costs instead of hiring American workers.
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What it means for foreign workers
“The Trump Administration is committed to ensuring that American workers are not disadvantaged by unfair wage practices,” said U.S. Secretary of Labour Lori Chavez-DeRemer.
“This proposed rule will help ensure that employers pay foreign workers wages that reflect the real market value of their labour, in addition to protecting the wages and job opportunities of American workers. The continued abuse of the H-1B program by certain bad actors will no longer be tolerated,” she said.
Under the existing rules, employers who are hiring foreign workers must pay the current wage for the area. Or the wage paid to similar US workers, whichever one is higher.
The current prevailing wage also acts as a minimum pay level in the permanent labour certification process.
The department believes the updated system will reduce incentives to underpay foreign workers and will support fair competition in the labour market.
The proposed rule will be open for public comments for 60 days after it is published in the Federal Register on March 27, 2026.
Further details and guidance will be provided by the Employment and Training Administration’s Office of Foreign Labour Certification.
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